In another case, the Free State Department of Arts, Culture, and Recreation has been ordered by the High Court on 31 May 2023 to settle the outstanding R3 344 000 to C-Squared for the work they have done for Macufe in 2022. 

It is understood C-Squared was informed by the department that the R3 million will be paid by November 2022. However, this was never done. 

The department argued they were not responsible for the payment owed to C-Squared since their appointment was declared unlawful. The DA’s David van Vuuren said they want the MEC and HOD to personally be held liable for the unlawful appointment of C-Squared.

ALSO READ: Macufe judgment appealed, again

Van Vuuren explained that the department appeared before the Provincial Legislature’s Public Accounts and Finance Committee but argued that the matter could not be resolved since it was still being litigated. “They did not inform the service provider that the payment was subject to a final judgment following the outcome of an appeal. 

The MEC and HOD are responsible for incorrectly sending out a payment notice to C-Squared and must be held personally responsible for the financial implications, the payment of R3 344 000, the interest on the amount and the costs associated with litigation, as ordered by Judge Ilse van Rhyn.

ALSO READ: Macufe tender scrutinised by Hawks

The department has since appealed Judge Phillip Loubser’s judgment twice. The first appeal at the High Court was dismissed with costs, and the second appeal at the Supreme Court is yet to be made. Loubser’s judgment outlined that the department’s decision to appoint C-Squared as the service provider for Macufe was unlawful, and should be set aside. However, because the judgment was handed down days after the commencement of the festival, which is one of the biggest in the province, Loubser did not forbid it from continuing as he believed it would have had dire financial repercussions for many institutions and patrons.

ALSO READ: Decision to appoint C-Squared for Macufe set aside

The South African Police Services' Directorate for Priority Crime Investigation, known as the Hawks, have recently seized certain documents from the department’s offices. The documents are believed to be Macufe tender documents. 

The Hawks’ senior communication officer, Philani Nkwalase, said a criminal case was opened after allegations were made during the court hearing that administrative irregularities tainted the tender. “The administrative irregularities included deviating from the specifications in the tender invitation, without informing other applicants. The confiscation of documents is done to allow for investigation into the matter."

The department’s spokesperson, Tankiso Zola, did not comment by the time of publishing.

OFM News